HOME > MARKETS > MARKET COMMENTARY
  MARKET COMMENTARY
EQUITY
Markets continue to trade firm in early noon deals
Dec-05-2019

Indian equity benchmarks continued to trade firm in early noon session on the back of buying in front line blue chips counters amid firm global cues. Sentiments remained upbeat as the Union Cabinet approved the launch of an exchange-traded fund (ETF) for bonds to create an additional source of funding for Central Public Sector Enterprises (CPSEs) and state-owned financial institutions. Finance Minister Nirmala Sitharaman has said that with the creation and launch of umbrella ETF the government hopes to diversify investor base. She emphasised that this is expected to eventually increase the size of bond ETFs in India, leading to achieving key objectives at a larger scale. Furthermore, domestic currency improved by renewed hopes about US-China trade deal after reports showed the US and China are moving closer to agreeing on the amount of tariffs to be rolled back in a ‘phase one’ trade deal.  

On the global front, Asian markets were trading mostly in green, on account of optimism after a report said that Washington and Beijing are moving closer to agreeing on the amount of tariffs to be rolled back in a phase-one trade deal, and is optimistic to be complete before US tariffs against China are set to rise on December 15. Back on street, in scrip specific developments, shares of Gayatri Projects touched its upper circuit after its subsidiary Gayatri Energy Ventures (GEVPL) signed an agreement to sell the remaining 5.96 per cent stake in Sembcorp Energy India (SEIL) to Sembcorp Utilities for Rs 406 crore.

The BSE Sensex is currently trading at 40966.99, up by 116.70 points or 0.29% after trading in a range of 40865.38 and 41002.41. There were 15 stocks advancing against 16 stocks declining on the index.

The broader indices were trading in green; the BSE Mid cap index surged 0.14%, while Small cap index was up by 0.23%.

The top gaining sectoral indices on the BSE were Consumer Durables up by 0.79%, Realty up by 0.58%, Energy up by 0.48%, Capital Goods up by 0.44% and IT was up by 0.42%, while Telecom down by 1.32%, Metal down by 1.06%, Healthcare down by 0.53%, Basic Materials down by 0.28% and Utilities was down by 0.11% were the top losing indices on BSE.

The top gainers on the Sensex were ICICI Bank up by 1.24%, TCS up by 1.08%, ITC up by 1.01%, Larsen & Toubro up by 0.82% and Reliance Industries was up by 0.81%. On the flip side, Sun Pharma down by 1.79%, Bharti Airtel down by 1.59%, Tata Motors down by 1.03%, Yes Bank down by 0.95% and Tata Steel was down by 0.87% were the top losers.

Meanwhile, India has moved seven places up and ranked 73rd out of 152 countries in the United Nations Conference on Trade and Development's (UNCTAD) Business-to-Consumer (B2C) E-commerce Index 2019. A B2C E-commerce index measures an economy's preparedness to support online shopping. European nations hold eight of the top 10 spots on the index, which ranks 152 countries on their readiness to engage in online commerce. The only non-European countries on the top 10 list are Singapore (3) and Australia (10).

According to the report, in India Internet shoppers as a share of Internet users was 11 percent and Internet shoppers as a share of population 3 percent in 2017. Faring better than India are countries such as Iran, ranked 42nd, Kazakhstan (57), Azerbaijan (62), Vietnam (64) and Tunisia (70). Switzerland is ranked second on the list, followed by Singapore, Finland, the United Kingdom, Denmark, Norway, Ireland, Germany and Australia. Countries are scored on the access to secure internet servers, the reliability of postal services and infrastructure, and the portion of their population that uses the internet and has an account with a financial institution or mobile-money-service provider.

The report noted that there is an urgent need to help less prepared countries improve their infrastructure and build trust among their population. Otherwise, their businesses and people will miss out on the opportunities offered by the digital economy, and they will be less prepared to deal with various challenges. UNCTAD's index also highlights the need to improve the reliability and availability of statistics, especially in developing countries. Typically, countries that are the least prepared for the digital economy also have the least amount of statistical information to help their policymakers make well-informed decisions.

The CNX Nifty is currently trading at 12069.40, up by 26.20 points or 0.22% after trading in a range of 12045.15 and 12081.20. There were 21 stocks advancing against 29 stocks declining on the index.

The top gainers on Nifty were Zee Entertainment up by 3.68%, Indian Oil Corporation up by 1.50%, Titan Company up by 1.16%, ICICI Bank up by 1.13% and TCS was up by 1.05%. On the flip side, Coal India down by 2.12%, Sun Pharma down by 1.86%, Bharti Airtel down by 1.83%, JSW Steel down by 1.52% and GAIL India was down by 1.42% were the top losers.

Asian markets were trading mostly in green, Nikkei 225 surged 160.06 points or 0.69% to 23,295.29, Hang Seng increased 104.91 points or 0.4% to 26,167.47, Jakarta Composite soared 27.58 points or 0.45% to 6,140.46, Straits Times advanced 16.55 points or 0.52% to 3,176.34, Shanghai Composite gained 11.40 points or 0.4% to 2,889.52 and Taiwan Weighted was up by 74.77 points or 0.65% to 11,585.24. On the other hand, KOSPI was down by 5.63 points or 0.27% to 2,063.26.
  RELATED NEWS >>
Most Viewed >>
April 19 , 2024
JPMorgan bullish on Indian stocks, suggests ma
April 19 , 2024
Gold mutual funds deliver 23% return in 6 mont
April 19 , 2024
Is it time to take small bets in FMCG stocks?
April 19 , 2024
FPIs pull out of debt, selling pressure may co
EXPLORE
© CITRUS INTERACTIVE
Designed & Developed Accord Fintech Pvt. Ltd.